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The COVID-19 pandemic has battered the world economy with impact, one of the hardest-hit segments being the mortgage industry. Reports indicate that the future isn’t clear considering that it might get quite difficult for one to even get the services.

Analysts have given out their reports pointing to the mortgage rates retrogression to stand at the recent lows. The number of homeowners expected to seek out refinancing services would have been expected to be pretty high. Either way, accessing any of the two loans is becoming pretty difficult as time progresses. This is a matter that has been closely attributed to the huge impact of the deadly pandemic that has already claimed many lives as infections continue spreading.

Business experts outline that the economies have affected drastically with quite a significant number of people complaining of job losses. Many are barely surviving with even the house rent becoming a matter of great concern.

One would have anticipated that the significant drop in the mortgage rates to trigger the homebuyers. That isn’t the case considering the reports coming out that they are hardly banging doors in the hunt down for homes to buy. Matters are quite strained considering that it is even difficult coming across a homeowner showcasing enthusiasm towards having money through refinancing.

Accessing both types of loans is no longer the same as was the case before the deadly pandemic struck the world. Experts in the mortgage industry say that the market has been battered by the pandemic in several fronts and uncertainty creeps.

There are also reports that in March the mortgage credit availability dropped to the lowest level ever witnessed over the past five years. The lenders according to the survey conducted by the Mortgage Bankers Association said that they had been affected by a major drop in liquidity.

One MBA Economist known as Jole Kan has given out an explanation about the recent turn of events. According to him, a major reduction in the availability of loans with higher LTV ratios and lower credit scores has impacted the Mortgage market significantly.

The unprecedented markets have caused some of the largest lenders to suspend the purchase of the nonconforming loans, something that is hurting the correspondent sellers a great deal.